Two opposing figures in the financial world, Anthony Pompliano and Peter Schiff, come together to discuss recent economic trends.
During Mr. Schiff’s “win” program due to rising gold prices, the parties criticized each other harshly, particularly regarding the impact of tariffs on inflation.
One of the most heated issues during the debate was tariffs. Peter Schiff, chief economist at Euro Pacific Asset Management, argued that the tariffs were a direct consumer tax and would drive up prices. Schiff claimed the Trump administration was trying to “impose” the policy on Americans without realizing they were being taxed.
Pompliano disputed this view, citing 2018 tariffs on steel and solar panels as examples. Mr. Pomp argued that these tariffs led to increased domestic production and that due to increased efficiency, prices actually fell or did not cause an inflationary boom.
Peter Schiff claimed his prediction was correct as gold prices reached record highs. However, the price of gold has now fallen to around $4,700. Schiff argues that Bitcoin has lost value relative to gold and that the “digital gold” narrative has collapsed. Schiff said Bitcoin has lagged behind gold, despite people like Michael Saylor buying it in large quantities.
Schiff also joked that he owns no cryptocurrencies, other than a small amount of Bitcoin given to him as a gift, which he keeps in a “strategic reserve.”
Pompliano argued that artificial intelligence (AI) is the key to economic growth and low inflation. Pompliano said AI is the biggest deflationary force in history, arguing that productivity gains will offset government spending.
*This is not investment advice.
